On June 10, 2013, Dr. William Kincaid of Johnson City, Tennessee was sentenced to two years in prison for his role in purchasing misbranded and possibly counterfeit cancer drugs. Kincaid was a physician and managing partner for McLeod Cancer and Blood Center of Johnson City, Tennessee. The clinic was set up to provide care for those with cancer and blood disorders. Kincaid was convicted of receiving misbranded drugs with intent to defraud or mislead in violation of the Food, Drug and Cosmetics Act. Once the misbranded drugs were purchased, he then sought reimbursement through the Medicare and Medicaid/TennCare programs as well as other health benefits programs.

Additional details: Kincaid purchased the his misbranded cancer medication from Quality Specialty Products (QSP), one of the foreign suppliers implicated in the counterfeit Avastin discoveries of 2012-2013. In addition to jail time, Kincaid has agreed to pay a civil penalty of $2.55 million in civil claims under the False Claims Act, due to his fraudlent dealings with Medicare. Though they were not criminally charged, Kincaid’s business partners, Millard R. Lamb and Charles O. Famoyin, have also been required to pay a fine of $850,000 apiece for their role in defrauding Medicare.